Introduction
The Banking and Finance sector in Nigeria is regulated primarily
by the Banks and Other Financial Institutions Act (BOFIA) in
conjunction with the Central Bank of Nigeria Act which vests powers
in the Central Bank of Nigeria (the "CBN") as the apex
regulator. So, the CBN makes regulations for the control of all
financial institutions, as it is charged with the responsibility to
maintain financial system stability and to regulate the financial
services sector.
The primary legislations are supported by the secondary laws
such as the Companies and Allied Matters Act (CAMA), which
regulates the affairs of all companies doing business in Nigeria;
the Nigerian Deposit Insurance Corporation Act (NDICA), which
regulates the insurance of deposits in licensed banks and protects
the interest of depositors in the event a financial institution
becomes distressed; the Foreign Exchange (Monitoring and
Miscellaneous Provisions) Act, which regulates transactions in
